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ORGANIZATIONAL VALUES:

Organizational values define the acceptable standards which govern the behaviour of
individuals within the organization. Without such values, individuals will pursue
behaviours that are in line with their own individual value systems, which may lead to
behaviours that the organization doesn't wish to encourage.

In a smaller, co-located organization, the behaviour of individuals is much more visible


than in larger, disparate ones. In these smaller groups, the need for articulated values is
reduced, since unacceptable behaviours can be challenged openly. However, for the
larger organization, where desired behaviour is being encouraged by different individuals
in different places with different sub-groups, an articulated statement of values can draw
an organization together.

Clearly, the organization's values must be in line with its purpose or mission, and the
vision that it is trying to achieve. So to summarize, articulated values of an organization
can provide a framework for the collective leadership of an organization to encourage
common norms of behaviour which will support the achievement of the organization's
goals and mission.

STRATEGIC FRAMEWORK:

Every organization has a vision or picture of what it desires for its future, whether foggy
or crystal clear. The current mission of the organization or the purpose for its existence is
also understood in general terms.

Values form the foundation for everything that happens in your workplace. If you are the
founder of an organization, your values permeate the workplace. You naturally hire
people who share your values. Whatever you value, will largely govern the actions of
your workforce.

The values members of the organization manifest in daily decision making, and the
norms or relationship guidelines which informally define how people interact with each
other and customers, are also visible. But are these usually vague and unspoken
understandings enough to fuel your long term success? I don’t think so.

Every organization has a choice. You can allow these fundamental underpinnings of your
organization to develop on their own with each individual acting in a self-defined
vacuum. Or, you can invest the time to proactively define them to best serve members of
the organization and its customers.

Many successful organizations agree upon and articulate their vision, mission or purpose,
values, and strategies so all organization members can enroll in and own their
achievement.
Values are traits or qualities that are considered worthwhile; they represent an
individual’s highest priorities and deeply held driving forces.

Value statements are grounded in values and define how people want to behave with
each other in the organization. They are statements about how the organization will value
customers, suppliers, and the internal community. Value statements describe actions that
are the living enactment of the fundamental values held by most individuals within the
organization.

Vision is a statement about what the organization wants to become. The vision should
resonate with all members of the organization and help them feel proud, excited, and part
of something much bigger than themselves. A vision should stretch the organization’s
capabilities and image of itself. It gives shape and direction to the organization’s future.

Mission/Purpose is a precise description of what an organization does. It should describe


the business the organization is in. It is a definition of "why" the organization exists
currently. Each member of an organization should be able to verbally express this
mission.

Strategies are the broadly defined four or five key approaches the organization will use
to accomplish its mission and drive toward the vision. Goals and action plans usually
flow from each strategy.

One example of a strategy is employee empowerment and teams. Another is to pursue a


new worldwide market in Asia. Another is to streamline your current distribution system
using lean management principles.

This strategic framework must be developed by identifying the organization’s values.


Create an opportunity for as many people as possible to participate in the process. All the
rest of the strategic framework would grow from living these.

WHY IDENTIFY AND ESTABLISH VALUES?

Effective organizations identify and develop a clear, concise and shared meaning of
values/beliefs, priorities, and direction so that everyone understands and can contribute.
Once defined, values impact every aspect of your organization.

You must support and nurture this impact or identifying values will have been a wasted
exercise. People will feel fooled and misled unless they see the impact of the exercise
within your organization.

If you want the values you identify to have an impact, the following must occur.
• People demonstrate and model the values in action in their personal work
behaviors, decision making, contribution, and interpersonal interaction.
• Organizational values help each person establish priorities in their daily work life.
• Values guide every decision that is made once the organization has cooperatively
created the values and the value statements.
• Rewards and recognition within the organization are structured to recognize those
people whose work embodies the values the organization embraced.
• Organizational goals are grounded in the identified values.
• Adoption of the values and the behaviors that result is recognized in regular
performance feedback.
• People hire and promote individuals whose outlook and actions are congruent with
the values.
• Only the active participation of all members of the organization will ensure a truly
organization-wide, value-based, shared culture.

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